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STA

Strandline ResourcesASX:STA Stock Report

Last Price

AU$0.30

Market Cap

AU$303.5m

7D

13.0%

1Y

52.5%

Updated

17 Jan, 2022

Data

Company Financials +
STA fundamental analysis
Snowflake Score
Valuation2/6
Future Growth4/6
Past Performance0/6
Financial Health5/6
Dividends0/6

STA Stock Overview

Strandline Resources Limited, together with its subsidiaries, engages in the exploration and evaluation of mineral sands, and other base metal resources in Australia and Tanzania.

Strandline Resources Competitors

Jervois Global

ASX:JRV

AU$1.0b

Mincor Resources

ASX:MCR

AU$898.5m

Centaurus Metals

ASX:CTM

AU$483.7m

Legend Mining

ASX:LEG

AU$231.4m

Price History & Performance

Summary of all time highs, changes and price drops for Strandline Resources
Historical stock prices
Current Share PriceAU$0.30
52 Week HighAU$0.32
52 Week LowAU$0.17
Beta1.48
1 Month Change7.02%
3 Month Change52.50%
1 Year Change52.50%
3 Year Change246.59%
5 Year Change182.41%
Change since IPO-83.06%

Recent News & Updates

Sep 18
Is Strandline Resources Limited (ASX:STA) Trading At A 31% Discount?

Is Strandline Resources Limited (ASX:STA) Trading At A 31% Discount?

Today we will run through one way of estimating the intrinsic value of Strandline Resources Limited ( ASX:STA ) by...

Shareholder Returns

STAAU Metals and MiningAU Market
7D13.0%5.5%-0.5%
1Y52.5%9.0%10.4%

Return vs Industry: STA exceeded the Australian Metals and Mining industry which returned 9% over the past year.

Return vs Market: STA exceeded the Australian Market which returned 10.4% over the past year.

Price Volatility

Is STA's price volatile compared to industry and market?
STA volatility
STA Average Weekly Movement9.4%
Metals and Mining Industry Average Movement10.7%
Market Average Movement8.4%
10% most volatile stocks in AU Market15.2%
10% least volatile stocks in AU Market3.6%

Stable Share Price: STA is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: STA's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1999n/aLuke Grahamhttps://www.strandline.com.au

Strandline Resources Limited, together with its subsidiaries, engages in the exploration and evaluation of mineral sands, and other base metal resources in Australia and Tanzania. Its principal mining assets include a portfolio of heavy mineral sands (HMS) projects; the Coburn HMS project located in Western Australia; and the Fowlers Bay nickel project covering an area of 700 square kilometers located in the Western Gawler region of South Australia. The company was formerly known as Gunson Resources Limited and changed its name to Strandline Resources Limited in December 2014.

Strandline Resources Fundamentals Summary

How do Strandline Resources's earnings and revenue compare to its market cap?
STA fundamental statistics
Market CapAU$303.45m
Earnings (TTM)-AU$12.81m
Revenue (TTM)AU$103.21k

3,389x

P/S Ratio

-26.8x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
STA income statement (TTM)
RevenueAU$103.21k
Cost of RevenueAU$0
Gross ProfitAU$103.21k
ExpensesAU$12.91m
Earnings-AU$12.81m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.011
Gross Margin100.00%
Net Profit Margin-12,408.55%
Debt/Equity Ratio2.1%

How did STA perform over the long term?

See historical performance and comparison

Valuation

Is Strandline Resources undervalued compared to its fair value and its price relative to the market?

4.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: STA (A$0.31) is trading below our estimate of fair value (A$0.32)

Significantly Below Fair Value: STA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: STA is unprofitable, so we can't compare its PE Ratio to the Australian Metals and Mining industry average.

PE vs Market: STA is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate STA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: STA is good value based on its PB Ratio (2.5x) compared to the AU Metals and Mining industry average (2.8x).


Future Growth

How is Strandline Resources forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

65.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STA is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: STA is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: STA's is expected to become profitable in the next 3 years.

Revenue vs Market: STA is forecast to have no revenue next year.

High Growth Revenue: STA is forecast to have no revenue next year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: STA's Return on Equity is forecast to be very high in 3 years time (43.1%).


Past Performance

How has Strandline Resources performed over the past 5 years?

-22.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: STA is currently unprofitable.

Growing Profit Margin: STA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: STA is unprofitable, and losses have increased over the past 5 years at a rate of 22.3% per year.

Accelerating Growth: Unable to compare STA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: STA is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (35.3%).


Return on Equity

High ROE: STA has a negative Return on Equity (-9.51%), as it is currently unprofitable.


Financial Health

How is Strandline Resources's financial position?


Financial Position Analysis

Short Term Liabilities: STA's short term assets (A$117.7M) exceed its short term liabilities (A$16.8M).

Long Term Liabilities: STA's short term assets (A$117.7M) exceed its long term liabilities (A$4.8M).


Debt to Equity History and Analysis

Debt Level: STA has more cash than its total debt.

Reducing Debt: Insufficient data to determine if STA's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: STA has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: STA has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of 20.6% each year


Dividend

What is Strandline Resources's current dividend yield, its reliability and sustainability?

5.86%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate STA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate STA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if STA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if STA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of STA's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.4yrs

Average management tenure


CEO

Luke Graham (46 yo)

5.33yrs

Tenure

AU$830,565

Compensation

Mr. Luke Edward Graham, A.Dip (Hons) (Elec Eng), MAICD, served as a Non-Executive Director of Primero Group Limited since May 21, 2018 until March 25, 2020. He has been the Chief Executive Officer, Managin...


CEO Compensation Analysis

Compensation vs Market: Luke's total compensation ($USD600.08K) is about average for companies of similar size in the Australian market ($USD532.68K).

Compensation vs Earnings: Luke's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: STA's management team is considered experienced (3.4 years average tenure).


Board Members

Experienced Board: STA's board of directors are considered experienced (4.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 114.9%.


Top Shareholders

Company Information

Strandline Resources Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Strandline Resources Limited
  • Ticker: STA
  • Exchange: ASX
  • Founded: 1999
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Implied Market Cap: AU$303.453m
  • Shares outstanding: 1.12b
  • Website: https://www.strandline.com.au

Location

  • Strandline Resources Limited
  • London House
  • Level 9
  • Perth
  • Western Australia
  • 6000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/17 07:03
End of Day Share Price2022/01/17 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.